6min chapter

Bitcoin Rapid-Fire cover image

Jameson Lopp: Bitcoin Covenants, OP_VAULT, Upgrade vs. Ossification & Casa Changes

Bitcoin Rapid-Fire

CHAPTER

Bitcoin Vaulting

A Bitcoin vault is a specific type of covenant transaction that Enforces a time lock on the transfer of the control of funds. It also enables this immediate transfer of funds into recovery wallets if something goes wrong. The idea is you put your money in the vault and then you can at any time try to Initiate a withdrawal, but that initiation has to sit there for some period of time before they can then be withdrawn to an arbitrary address. So it's basically giving you time to be able to react to a potential compromise to your wallet.

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